Though going solo can be liberating, it can also be a frustrating experience. Here Inc.com offers resources to help combat some of the challenges of being self-employed, from finding health insurance to troubleshooting computer ills to fighting isolation.
In theory, self-employment sounds appealing. Be your own boss, control your destiny, walk away from the whims of corporate America and secure your place in the business world. But while striking out on your own might be liberating, it does come with some real costs, as John Case points out in "Trading Places" in the November 2002 issue of Inc. magazine.
Once you become self-employed, you're responsible for paying for things your employer once did -- like office supplies and computer equipment. You incur the cost -- and frustration -- of having to fix your own computer and manage the financial responsibilities of being in business for yourself. Also gone are the employer-sponsored health insurance and retirement benefits, and the advantage of collecting unemployment if you've been laid off. So, it's not surprising that many pause or turn back before taking the leap into entrepreneurship.
"A lot of times people are fence riding or living between two worlds," says Muriel Anderson-Ballard, a professional coach based in San Rafael, Calif., whose business, The Art of Joy, specializes in the challenges faced by entrepreneurs, working mothers, and artists. "They're not committed to the job they're in, but they're not ready to go out on their own." To help you get ready to go it alone, Inc.com discussed the challenges with some soloists and uncovered inspirational and instructional stories from the Inc archives. Collectively, the advice and information you find here might help you jump that fence into self-employment.
Building a Network
Networking, according to Anderson-Ballard, is the most important piece in preparing for self-employment. It provides an opportunity to spread the word about your new business and a way to re-establish professional connections that you automatically lose when you leave an employer. "One thing we fear, as a corporate worker going solo, is that the day we punch out, we quite often lose touch with all of the people who used to be our network," says Jeff Zbar, a freelance writer and owner of Goin' SOHO, a consultancy working with corporations to target home office and teleworkers based in Fort Lauderdale, Fla. "Rebuilding your network is really key when going out on your own, otherwise, who will you turn to?"
Both Anderson-Ballard and Zbar highly recommend joining associations, your local Chamber of Commerce, the Rotary Club, whichever networking opportunities fit your style and schedule. Anderson-Ballard also recommends Business Network International, (BNI.com), a business and professional networking organization with chapters worldwide. But, becoming part of a member database isn't enough. Showing up to meetings and events consistently and proving you're interested in being involved over the long haul is the key to building credibility and lasting relationships.
Besides the traditional associations and organizations business owners can join, soloists increasingly have begun to form alliances or partnerships to help fight isolation and collaborate on projects while still remaining independent. In Julie Bick's November 2001 Inc feature, "The New Face of Self-Employment," she profiles Indigo Partners, a group of independent marketing consultants who have banded together to offer broad strategic marketing services to clients while maintaining their independence as soloists. Inc Senior Writer Susan Greco investigates the alliance trend in her September 2001 Inc article "Declaration of Independents," where she recounts the stories of small businesses joining forces to compete with larger businesses and gain purchasing power. Lastly, in the August 2002 feature, "Independent's Day," Greco and Inc Reporter Kate O'Sullivan take a look at a number of alliances representing soloists in myriad industries, detailing why they were formed and what they do for member soloists. Greco follows-up the article with "United We Stand," offering a checklist of effective collaboration criteria for soloists.
Finding Health Insurance
Health insurance, even if you're not self-employed, can be expensive and difficult to secure. Many small employers today can't even afford to offer reasonable plans to their employees. Imagine the challenges if you're a business of one.
Though the choices for the self-employed are slim, they do exist, but it takes some savvy shopping and good research to come up with the best health-care solution.
Zbar recommends networking and doing a simple Google search for health insurance. Web sites like ehealthinsurance.com and localinsurance.com both provide comparison-shopping features for health benefits.
Two more good stops are the National Association for Health Underwriters (NAHU.org) and the National Association of Insurance Commissioners(NAIC.org). At NAHU.org you can search by state for health benefits providers. At NAIC.org you can search for your state's insurance office at www.naic.org/state_contacts/sid_websites.htm. A simple search on New Hampshire uncovered the State of New Hampshire Insurance Department Web site and contact information for insurance companies that provide individual coverage.
